how to tell clients about a price increase!

[emily22]

Hi, i have decided to increase my prices slightly due to originally being a little too low.

Can you tell me what you think of this is a draft letter that i have written for the small amount of existing clients that i have!..

Dear Mrs XXX,
I am writing to you inform you, as a valued client, that due to an increase in overheads such as products, petrol and training, there will be a small increase in my prices. As a current client, these will not come into effect until 1st January 2008. I have enclosed a new price list for you along with a discount voucher to be used during the month of January and details of special offers.
I have tried to keep the increase in price as minimal as possible and I hope you will see that you are still getting good value as well as an excellent quality of service from Tranquillity Nails.

Please note that any bookings already received will be honoured at the original price if applicable.

Many thanks for your understanding; your loyalty is greatly appreciated.

Yours Truly.

 

[emily22]

*bump*

anyone?

 

[amirose]

I think it sounds great hun

Ami x

 

[geeg]

Hi, i have decided to increase my prices slightly due to originally being a little too low.

Can you tell me what you think of this is a draft letter that i have written for the small amount of existing clients that i have!..

Dear Mrs XXX,
I am writing to you inform you, as a valued client, that due to an increase in overheads such as products, petrol and training, there will be a small increase in my prices. As a current client, these will not come into effect until 1st January 2008. I have enclosed a new price list for you along with a discount voucher to be used during the month of January and details of special offers.
I have tried to keep the increase in price as minimal as possible and I hope you will see that you are still getting good value as well as an excellent quality of service from Tranquillity Nails.

Please note that any bookings already received will be honoured at the original price if applicable.

Many thanks for your understanding; your loyalty is greatly appreciated.

Yours Truly.

To me, your letter sounds way to apologetic and explanatory. I do not think this sort of a letter should be about explanations or an apology. Personally I would be very straight forward (no surprises there eh?) and I would write it thus :


Dear Valued Client,

As of January 1st 2008 I there will be a small increase in my salon prices.

I have enclosed a new price list for you along with a voucher to be used during the month of January and details of special offers.

We will continue as always to offer you the same good value as well as the excellent quality service for which we are known.

Please note that we will honour any bookings we have already received at the original price if applicable.

Your loyalty is greatly appreciated.

Yours Truly,

PS I NEVER use the word discount. It sends such a mixed message. YOu're putting your prices up and then giving them a discount? Confusing. Besides the word discount to me means cheap and sound tacky. IMO

 

[Lucy-Jayne]

Personally, I would put 'As a Valued Client' first.

I possibly wouldn't list the reasons for the increase as it leaves it open to questioning. I'd like to think that people could work out that every now and again prices increase, just like salaries do.

Sorry if I'm being picky.....! Words in brackets you could add.

As a valued client, I am writing to you inform you that due to an increase in overheads, Tranquility Nails have had to amend their prices.

As an existing client (or 'customer'), these changes will not come into effect until 1st January 2008.

I have enclosed a new price list for you, along with details of special offers and a discount voucher to be used during the month of January.

I have tried to keep the increase in price to a minimum and I hope you will appreciate that you are still getting great value ('for money'), as well as an excellent quality of service from Tranquillity Nails.

Please note that any bookings already received will be honoured at the original price if applicable.

Many thanks for your understanding; your loyalty is greatly appreciated.


Hope this helps.
L-J
x

 

[Chameleon]

Maybe instead of discount use the word "incentive",or "loyalty" voucher.

I agree with Gigi,i hate the word "discount"...Rich calls me a snob for this,but i see it as being professional,and discount just isnt a "professional" word in my vocabulary:lol::green:

 

[geeg]

Maybe instead of discount use the word "incentive",or "loyalty" voucher.

I agree with Gigi,i hate the word "discount"...Rich calls me a snob for this,but i see it as being professional,and discount just isnt a "professional" word in my vocabulary:lol::green:

Hear hear!! Been trying to teach this message for years. Professionals do not use the word discount! We don't work in a bazaar where services are bartered. Reminds me of cheap discount warehouses/stores and that is NOT how I want my business to be portrayed. That is not being a snob, that is having standards.

 

[Cec]

It's so easy to apology for the price increase. AS some of you know, I increased my prices with 25 GbP in August this year. I wrote a letter to all my clients, told them the price increase and that they could either text me or call me if they didn't want to continue going to me. (Not THAT straight forward, but something like that). All my clients said they were very happy for the letter and that they really liked the way it was written. A lot also said I should NOT excuse myself for doing it, after all, business is business.


C.

 

[Cec]

Hear hear!! Been trying to teach this message for years. Professionals do not use the word discount! We don't work in a bazaar where services are bartered. Reminds me of cheap discount warehouses/stores and that is NOT how I want my business to be portrayed. That is not being a snob, that is having standards.

Another thing with "discounts"... They are very often "fire extinguishing". You will get clients, but very often you get those who only look for price, not quality So when you don't have a discount, they will move on to another tech WITH discounts. I don't say this is the law, but I think there is something in it.

C.

 

[VHunter]

I too, have to do a price increase in January.
Not looking forward to it, because I know one or two will whine
BUT as I haven't increased them since I opened my doors 3yrs ago... I'd say it's about time.

I feel that my skill level has much improved in 3yrs, and also.... prices of product due to cost of gas (shipping) and changing my product brand brought my costs up a bit.

I think that most won't have difficulty with this. But as this is pretty much an NSS ruled town... it makes it a bit harder for me.
However, referrals speak volumes.. and I've had 5 this month who are already very happy repeats.

Never be apologetic about price increases. Everyone gets raises, so should we. We're making a living. As much as we love our work, it's WORK and not a hobby.

:hug:

 

[mercedes69]

I read your letter...and the only big thing that stood out for me...is the 'reasoning' behind your price increase...no need to explain why...just that you are lol :lol:

As for the discount thing... I must be so incredibly common...because I don't actually see anything wrong in saying 'discount' .... infact...I never have ever given it a thought... and now I am thinking...very hard in fact because I have got some snazzy postcards to give out with a flipping 10% DISCOUNT written on them front and back :cry: ( very small on the front and large on the back )

I will have to just accept I am very common and unprofessional :cry::cry::cry:

 

[VHunter]

While I may not see the problem with the word "discount" for me, I know how it may come across for some.
As we so often on this very board, people don't always "read" things the same way...and have their own interpretations...

Having said that, why not say

"I have included a Gift Voucher as a thank you for your much appreciated loyalty, that you may use during the month of January. It's for 'such-n-such' service, and a great way to wind down after the holiday stress."



How's that?

PS: what makes using the word "discount" unprofessional? I see it all the time, on notices and in windows from other businesses, businesses of alllllll kinds. Such as quality hair salons, other nail salons, restaurants, electronics stores, Internet providers, etc etc etc...
These are all "professional" businesses.......

 

[fiona wallace]

I have increased my prices 7 or 8 times now due to starting off WAY too low :irked: and now stress to all of our students NOT to make the same mistake....I also advise them to talk about opening 'Offers' not opening 'discounts'.

I too used to get myself so stressed and worried about the impact on my clientele. Although I will never know the exact numbers, to my knowledge I have lost 4 clients in 10 years who expressly said it was because they could get them cheaper elsewhere, BUT, my business has continued to grow year-on-year, so no worries there.

Are you mobile? All I have ever done is put a small card stating the price increase and 'from' date on each tech's desk and it's never been an issue! If you're mobile you might have to do something else?

I'm sorry but I think you're going too far even sending them a letter at all, handing the regulars a small note during Nov/Dec I would think would be sufficient (if you're mobile). The 'offers' for January should be kept seperate, you sound scared (I know you are, as was I, but don't show it, there's no need!).

WHEN WAS THE LAST TIME ANY OF YOU RECEIVED A LETTER FROM YOUR HAIRDRESSER ADVISING OF INCREASES? DO YOU EVEN KNOW IF THEY HAVE INCREASED THEIR PRICES? I NEVER HAVE AND I'M NEARLY 50!!!!!!!!!!!!!!

You go for it girl, increasing your prices is the RIGHT thing to do:!:

 

[fiona wallace]

And another thing...:lol:...I would increase my prices on the 1st December NOT 1st January.

Your clients NEED you in December and if you can give them great service and build a good relationship with them they won't concern themselves with a couple of pounds.

If it's January, they're more likely to use it as an excuse to STOP having nails for a while!

 

[geeg]

PS: what makes using the word "discount" unprofessional? I see it all the time, on notices and in windows from other businesses, businesses of alllllll kinds. Such as quality hair salons, other nail salons, restaurants, electronics stores, Internet providers, etc etc etc...
These are all "professional" businesses.......

Being in business and being a professional are two different things. The professions have always been known as things like Dr's, Lawyers, Dentists, people who provide expert personal services .. I do not see any of them offering discounts. That is what I mean by professionals. The word is often misused/misunderstood these days ... it's worth looking up in the old Websters .. you may be surprised at those who call themselves professional who quite clearly by definition are NOT.

 

[~Emmsybabes~]

This thread is very interesting,,
I have learned lots from this thread,
I am one of the people who started way too low and have had to raise prices a few times...I felt like this would cause my clients to think i was being sneaky..
I now wish I'd have just gone from 10 pounds (while training) straight up to my price now, with no faffing about in between,
As I have now realised the regulars have stayed with me, and think i'm worth it...and still recomend me..so Im still gaining clients...making same money for less work :green: (see sassy..it all clicks eventually in emma world lol )

I am too appologetic over MY prices as they are..why ? I haven't a clue..
I think I still feel guilty sometimes for charging people.

for eg..I have a client tonight I only had last week, she decided on cbm..so I did that , mixed a nice soft white...did the pinkie she was happy, so I carried on,
Now the lady has decided they are still a little too white, could she have them removed and natural tips instead..her choice...she said that...no blame or feeling of blame etc...on me.

So I said
"yes hun thats fine i can do that"
she said
" thankyou love, how much should I bring with me"
stupid bum here felt gulity and said
" oh well I'll tell you what, the nails will be 25 pounds (usually 28.50 but I have introductory offer running)
Then your removal will be half price with full set at 6.50p, but I will do it for 5 pounds....so it will be 30 pounds altogether hun"

STUPID STUPID EMMA ....
This lady is lovely, and never asked for any discount at all....she didnt even sound unhappy with the prices in the first place.....so why oh why did I open my big gob...and cut myself short ???
I have just auctioned myself off..
deep down I know I am worth more...god knows whats going on in my head.
I know what to do....just not brave enough to do it .
Dunno :irked:
I hope it changes with experience some time soon lol

Gigi.....sort me out mate lol :lol:

 

[geeg]

This thread is very interesting,,
I have learned lots from this thread,
I am one of the people who started way too low and have had to raise prices a few times...I felt like this would cause my clients to think i was being sneaky..
I now wish I'd have just gone from 10 pounds (while training) straight up to my price now, with no faffing about in between,
As I have now realised the regulars have stayed with me, and think i'm worth it...and still recomend me..so Im still gaining clients...making same money for less work :green: (see sassy..it all clicks eventually in emma world lol )

I am too appologetic over MY prices as they are..why ? I haven't a clue..
I think I still feel guilty sometimes for charging people.

for eg..I have a client tonight I only had last week, she decided on cbm..so I did that , mixed a nice soft white...did the pinkie she was happy, so I carried on,
Now the lady has decided they are still a little too white, could she have them removed and natural tips instead..her choice...she said that...no blame or feeling of blame etc...on me.

So I said
"yes hun thats fine i can do that"
she said
" thankyou love, how much should I bring with me"
stupid bum here felt gulity and said
" oh well I'll tell you what, the nails will be 25 pounds (usually 28.50 but I have introductory offer running)
Then your removal will be half price with full set at 6.50p, but I will do it for 5 pounds....so it will be 30 pounds altogether hun"

STUPID STUPID EMMA ....
This lady is lovely, and never asked for any discount at all....she didnt even sound unhappy with the prices in the first place.....so why oh why did I open my big gob...and cut myself short ???
I have just auctioned myself off..
deep down I know I am worth more...god knows whats going on in my head.
I know what to do....just not brave enough to do it .
Dunno :irked:
I hope it changes with experience some time soon lol

Gigi.....sort me out mate lol :lol:

Unfortunately it's a WOMAN/MOTHER/GIRL/FEMALE/FEMININE/DAME thing!!
Women in the nail business are by and large hopeless at the business side.
Once you learn to combine the two things THEN you will reach the skies!!:hug:

 

[Vetty]

STUPID STUPID EMMA ....

Gigi.....sort me out mate lol :lol:

Replace Emma with Vetty!!! I sometimes do the same..... particularly if a client is having problems...... I've got one tonight - put a full set on 2 weeks ago, repaired one snapped and one lifted last Friday, she calls and asks for them all to be taken off ('cos they're not lasting) and I'm soaking them off tonight...... Now I charge £15 for removal and mini-mani but I'm already putting myself in her shoes and imagining she thinks I'm a cheeky moo......

Now, sensibly I know that very few of my clients have nails 'that don't last', and that my time is money....... but

Now where did I put my hard-head?!

 

[VHunter]

Guilty as charged :o

I have one coming this morning, for a fill-in.
Single mom....of two... daughter of a friend...
Her mom convinced her to come see me instead of the NSS (who charge less than I do, btw)
And she cringed at the rebalance and fill prices.
I knocked off 5$ :irked:
BUT told her this one time only..


WHY WHY WHY did I do it?
Her mom is a loyal regular. And a friend. We refer business to each other constantly, that's how I reasoned it in my head.

BUT
if you go to Tim Horton's to buy a coffee.... they don't give you a break if you're broke......



arrghhh
kicking myself:grr:

 

['chelle]

I agree with everyone else, dont apologise or explain why you are increasing your prices. Do you get a letter from your council every April apologising and explaining why your council tax is going up?? Prices do go up, I think it is generally accepted that prices go up annually, so just do it!!

I am new and I have set my prices at what I would consider to be "salon" prices. I am actually more expensive than some salons around here (a bit of a price was on my local high street, one salon is doing full sets for £20!!). My work is good, those who want quality will come to me (hopefully) those who want cheap will go elsewhere. Fine by me!! Be brave and upfront with your pricing it shows that you are a professional.

p.s geeg is right I am a qualified lawyer and I have NEVER heard of a client haggling for "discount"